NEW YORK — New York’s attorney general has asked a judge to bar the Trump Organization from selling or transferring assets without court approval while a legal battle plays out over her fraud allegations against the former president’s company.
In court papers filed Thursday, lawyers for Attorney General Letitia James accused Donald Trump’s company of continuing fraudulent activities and taking steps to shield itself from any potential future court judgement.
The Democrat asked the court to appoint an independent monitor to oversee the company’s activities.
“There is every reason to believe that the defendants will continue to engage in similar fraudulent conduct right up to trial unless checked by order of this court,” the court filing said.
Trump’s attorney, Alina Habba, dismissed the idea of court oversight as unnecessary.
“We have repeatedly provided assurance, in writing, that the Trump Organization has no intention of doing anything improper,” Habba said. “This is simply another stunt which Ms. James hopes will aid her failing political campaign.”
James is running for re-election as attorney general against a little-known Republican attorney from Queens, Michael Henry.
In a lawsuit filed last month, James’ office accused Trump of habitually misleading banks and others about how much assets like his golf courses and other real estate were worth. In the latest filing, James said the organization continued to use improper methods of creating valuations.
The filing also accused it of trying to avoid New York state laws by incorporating another entity in Delaware, and making no assurances when the attorney general’s office expressed concerns about assets being transferred out of the state.
The lawsuit is currently before Manhattan Judge Arthur Engoron, who has repeatedly ruled against the former president in related subpoena disputes. Trump’s attorney has asked that the case be transferred to the court’s Commercial Division, which is set up to handle complex corporate litigation.
The initial lawsuit also named his three eldest children, Donald Jr., Ivanka and Eric Trump, as defendants.
In her motion for the injunction, James also asked that the court allow Donald Trump and Eric Trump to be served electronically. In the press release announcing the filing, her office said they had refused to accept being served with the complaints since the lawsuit was filed in September.
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